I'm considering picking up some US real estate while the prices are ridiculously cheap. What are the tax consequences of owning rental property in the US for a Canadian citizen & resident? I assume I file as normal in Canada, but do I also file a 1040NR in the US? Would I be able to write off the mortgage on my US taxes like a resident would?
Thanks in advance,
Rental Property in the US
Moderator: Mark T Serbinski CA CPA
You would report rental income on a 1040NR.
You can deduct mortgage interst simply because it is an expense,just like in canada. This is not the residential mortgage interest deduction that american taxpayers enjoy -- it is rental expense.
You can deduct mortgage interst simply because it is an expense,just like in canada. This is not the residential mortgage interest deduction that american taxpayers enjoy -- it is rental expense.
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best